WARNING:
This Digest was prepared for debate. It reflects the legislation as
introduced and does not canvass subsequent amendments.This Digest
does not have any official legal status. Other sources should be
consulted to determine the subsequent official status of the
Bill.

To allow a trustee of a Commonwealth unfunded defined benefits
superannuation scheme to reduce any benefits accruing to or for a
member of the scheme after 20 August 1996 by the amount of the
surcharge they are liable for.

Clause 4provides that where the liability of a
trustee of a Commonwealth unfunded defined benefits superannuation
scheme to pay the surcharge arose because of the operation of the
Superannuation Contributions Surcharge (Application to the
Commonwealth) Bill 1997 is discharged under that Bill (see clause 7
of that Bill), the trustee may reduce any benefits accruing to or
for the member after 20 August 1996 by the amount of the
surcharge.

Note: Clause 4 of the Bill is analogous to clause 34 of
the Superannuation Contributions Surcharge (Assessment and
Collection) Bill 1997. It may be noted that the validity of clause
34 has been questioned in submissions to the Senate Select
Committee on Superannuation examining the package of legislation
which this Bill forms part of.

Chris Field
Ian Ireland
3 April 1997
Bills Digest Service
Information and Research Services

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Published by the Department of the Parliamentary Library,
1997.

This page was prepared by the Parliamentary Library,
Commonwealth of Australia
Last updated: 10 April 1997